Value Stream Mapping
- 1. Ramakant Mahawar Value Stream Mapping
- 2. Value stream mapping Value stream mapping is a lean-management method for analyzing the current state and designing a future state for the series of events that take a product or service from its beginning through to the customer. At Toyota, it is known as "material and information flow mapping“.
- 3. Value Stream Mapping Purpose Provide optimum value to the customer through a complete value creation process with minimum waste in: Design (concept to customer) Build (order to delivery) Sustain (in-use through life cycle to service)
- 4. Why important Many organizations pursuing “lean” conversions have realized that improvement events alone are not enough Improvement events create localized improvements, value stream mapping & analysis strengthens the gains by providing vision and plans that connect all improvement activities Value stream mapping & analysis is a tool that allows you to see waste, and plan to eliminate it
- 5. What Is Value? A capability provided to a customer – of the highest quality, – at the right time, – at an appropriate price, as defined by the customer. – "Value" is what the customer is buying
- 6. What Is Value Stream Analysis? Lean Basics Planning tool to optimize results of eliminating waste Current State VSM Future State VSM
- 7. Value Steam Mapping Steps
- 8. Apply Five Simple Principles Specify value from the standpoint of end customer Identify the value stream for each product family Make the product flow So the customer can pull As you manage toward perfection
- 9. PERFECTION PULL FLOW VALUE STREAM VALUE Lean Guiding Principles
- 10. What Flows? "ITEMS" flow through a value stream – In manufacturing, materials are the items – In design & development, designs are the items – In service, external customer needs are the items – In admin., internal customer needs are the items Analysis begins with part of a total value stream, that part of the value stream has customers too
- 12. TAKT TIME The word takt is German and literally means pace or rhythm. When we speak of takt time we're attempting to understand the rate at which we need to produce our product in order to satisfy customer demand.
- 13. Step by Step Guide Step 1 - Select your sponsor and set expectations – appoint someone who is responsible to make decisions, arbitrate solutions, and plan the project. – The sponsor usually selects the processes that will be mapped and will usually have a firm grasp of what achievement is being targeted.
- 14. Step by Step Guide Step 2 - Select your team – You should ensure that each area or stakeholder of the process is represented e.g. Sales, Purchasing, Warehouse etc.
- 15. Step by Step Guide Step 3 -Select process to be mapped – Value Stream Mapping is suitable for most businesses and can be used in Manufacturing, Logistics, Supply Chain and some Service orientated Organizations.
- 16. Step by Step Guide Step 4 - Collect data and produce current state map – process times, inventory or materials information, customer (or demand) requirements. – the future state maps will be developed using information captured here so it’s imperative you have a correct understanding of the business.
- 17. Step by Step Guide Step 5 - Critique Current state – challenge the current thinking, encourage your team to make suggestions, look for areas of waste.
- 18. Step by Step Guide Step 6 - Map Future State – compile a future state map based on the current state map and the critiques
- 19. Step by Step Guide Step 7 - Create Action Plan and deploy – taking the Future State map consider an action plan that could be implemented to change the current process to the future state.
- 20. Step by Step Guide Step 8 - Measure benefits – check to ensure that the benefits expected have been obtained – review each change made and analyze benefits
- 21. Value Stream Mapping Present State Value Stream Map
- 22. Value Stream Mapping Establish Takt Time GOAL: Produce to Demand Takt Time = Demand Rate Takt Time = Work Time Available 900 Seconds 85 Boards = 10.6 Sec/BoardTakt Time = Cycle Time Takt Time = Minimum # of People Number of Units Sold
- 23. Value Stream Mapping Future State Value Stream Map
- 27. THANK YOU